Commercial Refurbishment · Cost Review · UK
Most cost increases are not caused during the build.
They are already embedded in the budget before work starts.
Refurbishment cost is not just a number. It's a position built from assumptions, scope, and risk.
People search for cost per sq ft. Average refurbishment cost. Typical budgets.
These are not reliable indicators.
They ignore the things that actually determine cost:
A cost figure without these is not a budget. It's a starting position.
What's included vs what isn't. Incomplete scope at budget stage means contractors price for risk — and that risk premium is carried by the client.
Design choices that inflate cost without operational necessity. Often driven by contractor preference or design assumptions that were never challenged.
Where cost risk is transferred to the client. When scope is undefined, the contractor estimates — and you carry the difference when reality diverges from assumption.
Timelines that create downstream cost escalation. Compressed programmes or undefined milestones translate directly into variations and abortive work.
Three mechanisms drive post-contract cost movement in commercial refurbishment:
Changes to scope after contract execution. Each variation is priced by the contractor — without competitive tension. This is where margin is recovered.
Items that were not included in the original tender but are required for completion. These emerge on site and are instructed as additional works.
Where design disciplines — M&E, structure, fit-out — were not fully coordinated before tender. Clashes and omissions become instructions on site.
Cost doesn't increase randomly. It increases where it was never fully defined.
Ranges vary significantly by specification, location, and scope. Cat A refurbishment typically runs from £40–£80 per sq ft. Cat B fit-out from £60–£120+. But these figures are starting points — not final costs. The gap between budget and outturn is determined by how well scope and risk were defined at the outset.
Costs increase where they were never fully defined. Variations, provisional sum adjustments, and missing scope are the primary drivers — all of which originate in pre-contract decisions, not site conditions.
Undefined scope at tender stage. When scope is incomplete, contractors price for risk. That risk premium is embedded in the contract and carried by the client throughout the project.
Before commitment. Once a contract is executed, cost positions are fixed. The pre-contract stage — when reviewing early budgets or comparing contractor quotes — is the only point where meaningful cost control is possible.
The level of provisional sums, the basis of pricing assumptions, benchmark alignment against comparable schemes, scope completeness, and whether the programme is realistic. These are the areas where cost exposure is typically highest.
This applies if:
You can also use the OMMC Fit-Out Risk Check to get an initial read on where your project stands before requesting a full review.
This page is not a pricing tool.
It's a way to understand where cost is sitting before commitment.
If you're reviewing a quote or preparing to go to tender, this is the point where cost can still be challenged.
If you're at the stage of reviewing a contractor quote or preparing to go to tender, an independent fit-out cost review is the structured way to check where cost risk is already sitting.
For a full commercial review covering scope, risk, contract terms, and cost, this forms part of a wider independent fit-out review.
Cost control in commercial refurbishment is a pre-contract activity. After commitment, it becomes management — not control.